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Green Procurement

Published: 27th November 2008

In July 2008, the OGC published a short guide called "Buy green and make a difference". The guide explains to procurers and decision makers in the public sector how to address environmental issues in public procurement.

The Government's recent announcement of its binding 80% cut in greenhouse gas emissions by 2050 has pushed "green procurement" further up both the public sector and private sector suppliers' agendas. The guide gives suppliers a helpful and timely insight into the Government's approach to green procurement.

The guide explains that the public sector should use its significant purchasing power to limit the effects of climate change, safeguard the environment and support sustainable development. This can be done while ensuring the public sector receives value for money and works towards achieving one of the Government's key current goals, that of reducing its carbon dioxide emissions by 12.5% by 2011-12.

The guide highlights when and how environmental considerations should be taken into account in the procurement process, as follows:

• The initial procurement stage of identifying a need gives the most scope for taking environmental considerations into account.
• These considerations should be included in the specification for goods or services, where relevant to the subject matter of the contract.
• The selection stage is an important opportunity to test suppliers' ability to deliver the environmental elements of the contract.
• Contracts are awarded on value for money on a whole life basis, not lowest upfront price. Many environmentally sustainable products will have lower whole life costs than the standard alternatives.
• Contract conditions should cover environmental issues.

Much can also be achieved by management of the relationship with the supplier during the term of the contract.